Bigger Cities Are Music to This Bank's Ears

Big cities are depositing more, and big banks couldn't be happier.

The FDIC collects data from banks they insure. According to their latest report, bank deposits in large cities have grown 9.1%, the most in six years. In this video, David Hanson details why he thinks Citigroup stands to benefit the most from this trend. Citi has focused on 150 cities that it believes to be important to the nation's economy. It's trying to do more with less -- specifically, to do more banking operations with less office space. With this increase in deposits, Citi, with its emphasis on large metropolitan areas, can now deploy more capital from fewer branch offices, which should help improve earnings down the road.